Apple Reports Q2 2013 Quarterly Results: $9.5 Billion Profit on $43.6 Billion in Revenue, Increases Dividend and Share Repurchases

[flottenheimer]

Soo looking forward to i(ve)OS.
Everyone seems to be looking at the hardware. I'm expecting the software to drive excitement this year!

 

[AppleScruff1]

You are trying to guess why an iPhone 5 user will upgrade now? Of course you can't come up with a good reason. There was also not much of a reason to upgrade from a 4 to a 4S. But that didn't stop Apple's iPhone sales from increasing dramatically with each new model. 5S probably won't be compelling to a 5 user. But check back for the 6 or the 6S, I bet that will be dramatically better.

Apple just needs its users to stay in the eco-system. It doesn't need yearly upgrades, it can wait for two-year or even three-year upgrades and still meet these revenue levels.

How long do you think they'd meet the revenue levels if they didn't upgrade the iPhone for 2 or 3 years?

 

[wovel]

No, that's earnings per share. Dividend is 3.05 per share.

He had the right dividend just used the annualized numbers.

 

[IJ Reilly]

No, that's earnings per share. Dividend is 3.05 per share.

The quarterly dividend is $3.05. Times four quarters = $12.20.

 

[xyion1]

No, that's earnings per share. Dividend is 3.05 per share.

$3.05 quarterly = $12.20 annually dividend per share.

 

[TallManNY]

Thanks for the info...

Does not seem Apple is not spending "enough" on R&D. But, of course, that won't stop the complaining...

A billion is a lot of money. You can hire thousands of qualified professionals for that kind of money and out fit them nicely with material and equipment. I mean how many folks can you really hire to work on designing a phone? Could you have 100 people working fulltime on the volume button for a year? No, of course not. How many folks does it take to design the iMac thinner? 100? 200? I don't know, but you eventually run out productive uses for the money.

And even if they double R&D to $6 billion, that doesn't dent the cash pile, it just slows the grow.

 

[davidec]

Buy when the market is fearful.
That's what investors will do now. A great quarter from which demonstrates the extremely good financial health this company is in. Exponential growth no. Solid long term stability yes. Stock up to 430 where it will slowly build and build until it breaks the 500 barrier later this year....

 

[TallManNY]

The quarterly dividend is $3.05. Times four quarters = $12.20.

And yet still not enough to stop the cash pile from growing.

 

[jrswizzle]

At 37.4 million total iPhones sold - and using the Verizon breakdown (1 iP5 : 1 iP4S/iP4), it looks like Apple sold roughly 19 million iP5s?

On top of the 34 million last year - putting the iP5 at roughly 53 million sold in 6 months.

No too shabby.

I would expect a bit better split in favor of the iP5 though this next quarter given the launch of the device on T-Mobile.

 

[AZREOSpecialist]

Stock is up over 22 points (almost 6%) in after hours. Tomorrow will be a great day for stockholders!

 

[pirg]

Better than some of the more gloomy predictions, and the buyback and dividend increase didn't hurt one bit.

Guess I wasn't in denial after all, huh? Like I said, talk to me when these "analysts"actually say something noteworthy.

Your crystal ball needs shining.

 

[MarcelV]

TC's excited about products In the pipeline. Who knew?

Like that wasn't the statement under Steve Jobs. Grow up, and comment on the results, which is what this article is about.

 

[DTphonehome]

The quarterly dividend is $3.05. Times four quarters = $12.20.

Whoops, my bad.

 

[TC03]

At 37.4 million total iPhones sold - and using the Verizon breakdown (2 iP5 : 2 iP4S/iP4), it looks like Apple sold roughly 19 million iP5s?

On top of the 34 million last year - putting the iP5 at roughly 53 million sold in 6 months.

No too shabby.

I would expect a big better split in favor of the iP5 though this next quarter given the launch of the device on T-Mobile.

You do realize that Apple is a multinational company right? The T-Mobile will launch will do problably nothing. It's water under the bridge.

 

[Peace]

Capitol allocation plans. The've never mentioned that before I don't think.

 

[TallManNY]

By the way, I've been throwing around my guesstimate of the cash pile being $145 billion for well over a month now. Allow me to pat myself on the back for getting that right, though it was of course just total luck.

 

[lilo777]

Buy when the market is fearful.
That's what investors will do now. A great quarter from which demonstrates the extremely good financial health this company is in. Exponential growth no. Solid long term stability yes. Stock up to 430 where it will slowly build and build until it breaks the 500 barrier later this year....

This "great quarter" Apple made 18% less profits compared the same quarter last year. AAPL may adjust slightly upward tomorrow but with profits dropping that fast the overall trend will stay down.

 

[jrswizzle]

You do realize that Apple is a multinational company right? The T-Mobile will launch will do problably nothing. It's water under the bridge.

Can you read? All I said was, I expect a better SPLIT (meaning more iP5's, less iP4S's and 4's). I said nothing about the number they'd sell.....

Right now it seems half the iPhones they sell are 5's while the rest are 4S's and 4's - I think T-mobile's release will sway the split a bit toward the 5. That's all.

 

[MarcelV]

TC's excited about products In the pipeline. Who knew?

Like that wasn't the statement under Steve Jobs. Why not comment on the results, which was what this article is about.

 

[Dirtfarmer]

"I'd shut it down and give the money back to the shareholders"
-Michael Dell, 1997

I guess they're finally taking his advice. Rampdown strategy:

1) stop making innovative products and instead start fielding spec-bumped also-rans and competing modestly into segments that others are already dominating

2) start giving cash hoard back to investors rather than using it to invent killer new market segments

3) start buying shares in a company whose stock is a) overvalued due to hype, and b) on a downward trajectory

Meanwhile Jobs is...scrolling in his grave.

 

[ColtonMeyer]

Actually, they're flat. Which is very impressive considering the huge drops the PC industry has seen.

No, they are down. Directly from Apple's 8K on its investor webpage:

4,017,000 Mac units sold in Q2 2012; 3,952,000 units sold in Q2 2013.

 

[IJ Reilly]

Guess I wasn't in denial after all, huh? Like I said, talk to me when these "analysts"actually say something noteworthy.

Your crystal ball needs shining.

You are either in denial or just don't know what is going on. I'll go with the latter, since you apparently don't know that EPS came in 18% lower than the same quarter of last year, almost exactly as predicted.

 

[Peace]

Access the debt market ? Huh ?



An Apple credit card ?

 

[gmanist1000]

- Continue to generate cash in excess of our needs.

I'll take it off their hands.

 

[jrswizzle]

This "great quarter" Apple made 18% less profits compared the same quarter last year. AAPL may adjust slightly upward tomorrow but with profits dropping that fast the overall trend will stay down.

The decrease in profit isn't due to anything other than a maturing market. Apple released a less profitable (per unit) device in the iPad mini and it was wildly successful (a big contributor to the decreased profit margin IMO). I don't think its all that alarming. If investors/analysts are expecting exponential growth at the ridiculous profit margins Apple enjoyed when they owned the market, they're delusional.

What IS the case is Apple continues to see growth in sales and revenue, increasing their overall base. New products down the line will cause larger jumps in profitability as more consumers buy Apple and are invested in Apple's ecosystem.

The profit drop is a blip, and the margins they enjoyed were unsustainable - just as the stock was likely overvalued at the time.

Really nothing but good things ahead for Apple.